Ashville Planning for A Stable 2009

Published 9:19 am Thursday, January 8, 2009

As the economy slows to a crawl nationwide, the City of Ashville is prepared to wait out the storm and a new bingo ordinance—which will bring in money if approved by the courts in Montgomery—should help.

“The intentions were that we’re like some of the other smaller cities, in that we’ve got some financial problems, but nothing [really bad],” Ashville Mayor Robert McKay said of the latest vote to allow electronic bingo to help bring in revenue.

He said that a company that lobbied for electronic bingo in Ashville approached the city and that the surrounding counties use of the machines was a big push for the council to vote to allow them.

“Everybody’s been looking at what’s going on with Macon, Greene and Etowah counties,” McKay said. “What we decided was that it’s not that everybody’s morally in support of gambling. But if everybody on all sides are getting the revenue, then why not us? That’s the gist of it.”

He said that the electronic bingo machines going in areas surrounding Ashville have pretty much destroyed a source of revenue that could be coming to Ashville. “You either [watch] the bus or get in and ride it,” McKay said.

But the bingo issue is now awaiting approval from the courts to see what legal problems the city may face if the machines are approved.

“We don’t know what’s going to happen,” McKay said. “It’s going to the courts. If they decide it’s okay, then we’re going to do it.” He said that he is unaware of the timeframe on when the ordinance will be approved or not.

But this year McKay said that the belt would be tight for Ashville, though not as tight as other areas.

“We’re all optimistic with revenue,” he said. “Fortunately, gas prices have come down.” When gas prices were up, it took a toll on the police and fire budgets for Ashville.

Also, with the prices being high in the middle of 2008, the four-cent-per-gallon tax that the city collected lost Ashville $35,000 in revenue. “Hopefully our gas revenue will be up,” McKay said.

He continued, “We’re looking at a deficit right now and we’ve had to increase water rates recently because we’ve brought on two new guys on the water board and we have to send them to school. One thing every town must have is a good water system.”

At the end of last year, Ashville was looking at its budget on a month-to-month basis. “We’re struggling,” McKay said of keeping the budget above water.

Ashville gained a couple of new city council members last year. One, Mike Sheffield, an ex-administrator at Caraway Hospital who holds business degrees from Jacksonville State and UAB, goes over each month’s bills with a fine toothed comb to make sure that Ashville will be able to ride out any coming financial storm. “He’s doing a good job,” McKay said of Sheffield.

McKay talked about what to expect in 2009 for his city. “Usually you can say we’re looking forward to this or that, or a new store opening, but we’re hoping things change. The economy is making people struggle to make ends meet.”

But he did point to a bright spot for the future of his city and St. Clair County.

“The school system, fortunately, has a good base,” he said. “St. Clair County is fortunate to have the money for the schools; so we’re in better shape than other areas. We have a great school board. They’re (budget is) tight now. Even the education system is going to have to tighten their belt. Ashville School System does show growth, but when you’re barely 4A, it does take a toll on your football team.”

Ashville High School, which has been ranked 3A in size for many years, was bumped up to 4A because it had just one student over the 3A mark at the start of the 2008-2009 school year.

McKay said that no matter what may come down the pipeline, though, that Ashville is set to keep things upbeat.

“Overall, we’re optimistic and we’re gonna come through this,” he said. “We’re just like everybody else in this. Individuals will have to deal with this economy… and us in a small municipality will have to as well.”